Question
Franklin Company sells its leading product for $30 per unit and has a contribution margin ratio of 30%. Total fixed costs are $183,000 per year
Franklin Company sells its leading product for $30 per unit and has a contribution margin ratio of 30%. Total fixed costs are $183,000 per year and Franklin has a 40% tax rate. How many units does the company need to sell to generate an after-tax operating profit of $45,000?
- A. 12,000
- B. 9,850
- C. 28,667
- D. 32,833
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Financial Accounting The Impact On Decision Makers
Authors: Gary A. Porter, Curtis L. Norton
2nd Edition
0030270995, 978-0030270994
